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- © Vilnius University, 2002-2016
- © Brno University of Technology, 2002-2016
- © University of Latvia, 2002-2016
Article
THE IMPACT OF 2007-2009 CRISIS ON THE ASSESSMENT OF BANK PERFORMANCE: THE EVIDENCE FROM CEE-11 COUNTRIES
Ewa Miklaszewska, Krzysztof Kil
ABSTRACT. The article focuses on the consequences of the 2007-2009 crisis on bank performance in CEE-11 countries, concentrating in particular on bank stability, profitability and lending policies. When analysing bank performance, the article proposes a new analytical tool: the risk-adjusted Multi Level Performance (MLP) Score. The empirical findings of the article indicate that in order to stimulate a stable and efficient banking system and influence the structure of loan portfolio, a well-performing banking market, epitomized by the high MLP Score, is not sufficient. Equally important are the favourable macroeconomic environment and an adequate scale and universal profile of banks. Thus, the authors claim that as the CEE countries develop, not only size but also depth of the financial market matter for bank performance .
KEYWORDS: CEE banking, bank performance, bank enterprise lending, performance-based MLP Score.
JEL classification: G01, G21, G32.